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According to the Bank’s website, the objective of this project is to establish the institutional foundations for implementation and financing of climate-smart recovery and reconstruction.
The Program will support the implementation of selected components of the Government’s PIM Reform Roadmap, PFM Reform Strategy Action Plan, and National Revenue Strategy. The Government has requested the Bank support for the implementation of reforms that are critical for reconstruction and recovery:
• PIM Reform Roadmap, led by MoF, including strategic and medium-term budget planning for investments; selection and approval of public investment projects for financing; management of public investments at the local level; and human and IT capacity building for public investment management.
• PFM Action Plan components led by MoF, including local medium-term budget planning; program-based budgeting at the local level; aligning intergovernmental transfers with expenditure assignments.
• National Revenue Strategy, led by MoF, including compliance management; strengthening the audit process; exchange of information for tax purposes; improvement of excise tax administration; consolidation of IT systems; improvement of STS personnel policy.
The Environmental Risk Rating for the IPF component is considered Moderate . The IPF Component is dedicated to capacity building on project implementation procedures on national and local government levels by means of trainings and awareness-raising activities, as well as supporting different associated IT solutions (Type 3 TA Activity). The potential project-related risks and impacts on the environment are not likely to be significant and can be easily mitigated in a predictable manner. At this stage, it is not envisaged that IPF financing will be used to procure any services or products directly resulting in development of investment project designs or implementation of such projects. Thus, the main environmental risks of the Project are related to capacity building activities (offline, in person) and include OHS and community health and safety issues stemming from war hazards (Explosive Remnants of War , aerial strikes etc.). The risk rating will be reassessed during Appraisal and revised accordingly, if needed.
The Social Risk Rating for the IPF component is considered Moderate. The IPF Component is dedicated to capacity building on project implementation procedures at the national and local government levels by means of trainings and awareness-raising activities, as well as supporting different associated IT solutions (Type 3 TA Activity). At this stage, it is not envisaged that IPF financing will be used to procure any services or products directly resulting in development of investment project designs or implementation of such projects, nor finance any civil works. There are potential health and safety risks for trainers and participants of training activities stemming from war hazards. The capacity building activities themselves will carry minimal or no social risks or impacts and will support improved E&S capacity for government entities that will in the future be responsible for carrying out activities such as public investment management and related environmental and social due diligence processes. Other social risks relate to ensuring that outreach and accessibility of capacity building activities are inclusive across geographically and socioeconomically dispersed local governments and stakeholders experiencing varying effects of the war.
The SURGE PforR Program will be implemented over 30 months at an estimated total cost of US$2,689.23 million, with US$750 million funded by IBRD loans and IDA credit, with Government financing of US$1,237.54 million.
World Bank
Urska Zrinski
Senior Public Sector Specialist
Oleksii Balabushko
Lead Governance Specialist
Borrower/Client/Recipient
Ukraine
Implementing Agencies
Ministry of Finance
Olga Zykova
Deputy Minister of Finance of Ukraine
zykova@minfin.gov.ua
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